Does sticking to one type of advertising make sense? Adhesive company Henkel says no.
In a recent article in the Wall Street Journal, journalist Serena Ng shared an interesting interview with the CEO of Henkel AG, a German consumer-goods company that manufactures household products and adhesives for everything from automobiles to cell phones. Kasper Rorsted, who has headed the company since 2008, shared his thoughts on the balance between traditional and digital advertising for household products such as Dial soap and Purex detergent, two of the company’s well-known brands.
Despite the extreme change in buying habits for items such as clothing, books and cosmetics, e-commerce hasn’t become the one-stop-shop for household goods for a simple reason: they cost almost double to ship than to pick up at the local grocer.
Does that mean Henkel doesn’t need digital?
On the contrary, Rorsted touched on an important point that any stragglers in the digital arena should take to heart.
“Digital and social media have an enormous impact on how people are viewing fast-moving consumer goods,” Rorsted said. This extends to the way brands are being perceived in today’s marketplace. Consumers are now able to offer valuable feedback and engage with brands in a never-before-imagined method.
“You’ve now got to create a community online that you didn’t have before,” Rorsted said, “and that has a big impact on how people go shopping.”
An emphasis on integration
Rorsted also shared some insight into why it’s so important to integrate traditional advertising outlets such as TV with today’s digital platforms.
“People are spending more time online, but… As digital use has gone up, TV use hasn’t really been going down,” Rorsted said.
This statement echoes the findings of recent three-screen studies by Nielsen, which demonstrate that Americans are continuing to watch television with little change in regular habits – except now they watch with their tablet on their lap or their cell phone in hand.
“TV is still the predominant vehicle for advertising,” Rorsted said. But with today’s access to media and advertising happening at multiple touch points, it’s essential to integrate your strategy.